If the price of a book is first decreased by 25% and then increased by 20%, then the net charges in the price will be :

A. No change

B. 5% increase

C. 5% decrease

D. 10% decrease

Answer: Option D

Solution(By Examveda Team)

Let the original price be Rs. 100
New final price :
= 120% of (75% of Rs. 100)
= Rs. $$\left( {\frac{{120}}{{100}} \times \frac{{75}}{{100}} \times 100} \right)$$
= Rs. 90
∴ Decrease = 10%